Is Guyana’s Oil Boom In Danger?

What the ---- is going on in Guyana?!

An alleged assassination attempt? Threats to burn down ExxonMobil’s offices? Protesters clashing with police?

Guyana, one of the fastest-growing economies in the world, is facing some serious political turmoil. And now the business community is sounding the alarm.

At the centre of the controversy is Guyana’s Opposition Leader, Azruddin Mohamed.

Mohamed claims that police attempted to assassinate him during a shooting incident in October. Of course police have disputed his account.

Now Mohamed is behind bars, following separate charges involving the alleged unauthorised release of police surveillance footage. He has pleaded not guilty.

But his detention has sparked protests.

On November 2, demonstrators clashed with police outside the Georgetown Magistrates’ Court. Barricades were breached, objects were thrown and fires were set along roadways.

And here’s where the story takes a disturbing turn for businesses.

Several activists have reportedly called for action against ExxonMobil, including threats to burn the oil company’s local premises!

Exxon is like huh? Weh we haffi do wid dis?

Well, some protesters appear to believe that targeting the country’s biggest oil investor could bring international attention to their political grievances.

Guyana’s Private Sector Commission has condemned the threats, warning that businesses and their employees should not become targets of political disputes.

Of course this is a HUGE economic concern.

Guyana’s oil industry has attracted billions of US dollars in investment, with ExxonMobil at the centre of that transformation.

The country has gone from being one of the poorest in South America to one of the world’s fastest-growing economies, thanks largely to oil.

But investors need more than natural resources.

They need political stability, security and confidence that their workers and investments will be protected.

If companies have to worry about threats, violence and political unrest, that increases the cost and risk of doing business.

And the consequences could extend beyond ExxonMobil to the thousands of local businesses and workers depending on Guyana’s economic boom.

The question now is whether Guyana can contain the political tensions before they begin to undermine the economic success it has worked so hard to achieve.

And that’s the bottom line.

Do you think Guyana’s political tensions could scare away foreign investors?